Facebook Adds

Facebook news feed ads

Advertising on Social media platforms has never performed as well as search engine adds such as Google add words. That looks like it could be about to change, because Facebook’s new News Feed ads are absolutely are becoming an extremely attactive option for marketers.

According to a new one-billion-impression ad study involving re-targeting giant AdRoll, news feeds ads have a massive 21 times higher click-through rates than standard web retargeting ads and an incredible 49 times the click-through rate of Facebook’s right-hand side ads.

News Feed ads sit right within the normal news feed. Sold via Facebook Ad Exchange, the ad units enable brands to target consumers who have previously visited their sites — hence “re-targeting” — which enables advertisers to merge the intent graph (what people want) with a social site (Facebook). They’re larger than Facebook’s right-hand-side ads, and they’re qualitatively different in very significant way.

So what is so special about Facebooks, re-targeting compared to that of any other re-targeting campaign? Facebook has combined the power of programmatic advertising with the natural non aggressive add pitch by embedding it in a ”natural environment”

In other words, even though News Feed ads are sold programmatically via the Facebook Ad Exchange, they’re also social entities. News Feed ads are likable, share-able, and commentable, and as such, they’re embedded into the fabric of what makes Facebook Facebook in a way that no other ads are. They benefit from viral effects, which means great ads will get great earned reach as well as paid, and the fit into the news feed in a very natural way, and allows for friends to refer to other friends in a genuine way.

Facebook only sells one of the per user per day and the combination of all that adds up to impressive metrics. According to some reports News Feed ads are providing almost 50 times the clicks per ad compared to Facebook’s right-hand side ads, and 21 times the clicks of standard web re-targeting ads. 

While the clicks are impressive the conversions are slightly down, overall that translates into 77 percent lower cost-per-action compared to web ads, and 45 percent lower cost than other Facebook ads. As tempting as it is, the comparison to Google might be a little premature,News Feed doesn’t have the scale of AdWords, and advertisers will still need to use multiple advertising methods to achieve the kind of reach they need. And, if Facebook was tempted to increase the number of News Feed ads, the likelihood is that their effectiveness would diminish.

However as a person who has been skeptical on how Facebook was going to move forwards, the new News Feed ads are a definite step towards Facebook long term business strategy. 

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